Li Dongrong, President, China Financial Partnership: There are four uncertainties in the digital transformation of financial institutions.

At the "14th Golden Unicorn Financial Summit and Smart Finance Summit 2021" on December 16, Li Dongrong, president of the China Internet Finance Association and former vice president of financial institutions of China, expressed his perspective on the digital transformation of financial companies. . .

Li Dongrong noted that today, whether large enterprises or small and medium-sized enterprises (SMEs), knowledge of using financial technology to drive digital transformation has improved compared to to last year. However, at the same time, there is a lot of skepticism in the process of digital transformation of financial companies, and as such, all areas of life should respect financial institutions and respond to appropriate research.

01,Four uncertainties of the digital transformation of financial institutions

The first skepticism is the numerical imbalance between financial institutions of various types and sizes.Take the example of banks, according to the "Survey of the Digital Transformation of Commercial Banks in China" jointly prepared by the China Internet Finance Association and the Xinhua News Agency's Outlook Think Tank, the digital capabilities of large companies of national and local banks involved. The commodity market average averaged 3.41 points (total score) 5), giving the bank the most rewards with 2.83 points and the rural market with 2.49 points. , which is lower than the symbol of the cross. We are far from medium and large banks. In the wave of digital exchanges, as more and more small and medium-sized enterprises are in the capillary of the national economy, they are facing more constraints and problems of investment, capital and technology compared to large schools. With this in mind, to promote the digital transformation of financial institutions, focus on small and medium schools and issues in small and medium schools.

The second skepticism is the imbalance of digitization between the different business relationships of financial companies.In light of the rapid growth of internet users in recent years, it can be said that the digital transformation of Korean financial institutions, especially banks, is based on retail, marketing and risk management. Usually higher than companies and insiders. Work and other links. As the “profit sharing” of Internet users declines and the “blue ocean impact” of the Internet market grows, financial companies must immediately investigate the situation. Improve processes and improve operations to achieve integrated and integrated digital exchange.

The third discrepancy is the inconsistency of digital financial services for different types of users.In recent years, the integration of digital finance in our country has achieved remarkable results. The service and level of digitization of financial services has increased dramatically, at the same time, Some young people are borrowing and overspending, and the older people are facing digital overdraft, and the barrier-free service system is new, like delays, new problems have arisen for the benefit of the whole community. Recently, the treasurer's office quickly announced appropriate and timely financial services support and facility renovation practices for the elderly. .

The fourth skepticism is the lack of trust between financial institutions and online platform companies.In recent years, some online platform companies have entered the financial markets through technology services, financial investments, licensing applications and partnerships. Problems such as monopoly, unfair competition. Due to the lack of capital and technology, some SMEs often have poor and inefficient processes in the process of integrating with online platforms, some organizations do not follow the rules of independence, commercial and public relations, and concentrate on cooperation. In the long run, these unequal relationships do not help build a relationship and a business environment through friendly and cooperative interactions.

The conflict has been mentioned above by various factors: the finance company, customers, partners, etc. Li Dongrong said that digital transformation for financial companies is a difficult and labor-intensive task, complacency will not be enough and requires a lot of cooperation, research planning and performance.

02,There are four ways that financial companies can solve the problem.

Li Dongrong pointed out that financial companies can start with the following:

The first is to improve management equipment.Focus on financial security management, financial information management and privacy protection, network platform financial business management, technology certification retirement, financial management, etc. We develop leadership, rules and recognition. At the same time, the capital of enterprises, enterprises and technologies using the new management activities of advanced management technologies has been constantly used and extended. , and new applications in areas such as cash flow, financial inclusion and research have been identified and provided. enough space to check. Financial innovation, retirement.

The second is the integration of the data content base.Strictly control the information laws under the "Cybersecurity Law", the "Information Protection Law" and the "Personal Information Protection Law", and in the financial sector, “User authentication, etc. Fairly minimal, special use and complete protection. '. and the needs and integration of national security, public interest, privacy and the rights of organizations and others to shape the distribution and distribution of information. information Use the application of personal information over time, support the development of joint ventures, joint ventures and information sharing as a whole, and strengthen the application and research of multi-party security records, government education and other personal information, including documents and financial information. The industry continues to improve the capabilities of fusion applications.

The third is to improve the financial digital ecosystem.Encourage financial institutions, research institutes and technology companies to meet the requirements of commercial independence through collaborative research, and promote technological R&D and funding applications. Encourage the 'pairing' of FinTechs to support and support small businesses that export digital tools such as risk management, compliance and operations, and support large enterprises. Encourage small and medium-sized financial companies to rely on platforms such as industry associations and industry partnerships to reduce digital exchange costs through partnerships in real estate development, housing, integration of exit services and other "home heating" methods. At the same time, we will strengthen regulatory cooperation between financial companies and online platform companies, and strictly regulate the rules on investment ratio, loan restrictions and partnerships.

The fourth is to improve digital financial awareness.Financial users are not only involved in the digital transformation process of financial institutions, but also enjoy the benefits of digital exchange. Improving understanding of digital finance among consumers helps financial companies provide consumers with a better product and better business environment for digital exchanges. To this end, digital financial literacy is included in key areas such as Consumer Finance Day, Financial Awareness Day, and national financial research, and issues such as personal information, business fraud, and ideals. such as adolescents, adults and people with disabilities. are reported in a timely manner.